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Win-win investment property deals exist, but lower interest rates raise risk of bad deals

While the CLI-CICT Ion Orchard agreement arguably benefits both parties, investors should be wary of Reit managers bingeing on acquisitions

Leslie Yee
Published Mon, Sep 16, 2024 · 02:11 PM
    • Ion Orchard, whose tenants include luxury brands, could benefit from the rejuvenation of Orchard Road.
    • Ion Orchard, whose tenants include luxury brands, could benefit from the rejuvenation of Orchard Road. PHOTO: BT FILE

    SOMETIMES, win-win deals do not exist. In trading a pair of currencies, one party benefits from a particular currency strengthening while the counterparty suffers a loss.

    In mega corporate and property deals, one often sees both buyer and seller gushing over the merits of the deal. 

    However, are win-win investment property deals the realm of fantasy? A seller may want to exit a property because he sees limited scope to add further value, grow rent or increase capital value.

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